S in ESG: Bewertung sozialer Nachhaltigkeit bei Immobilien - Kritische Bestandsaufnahme der Sozialtaxonomie und Grenzen der Zertifizierungssysteme
TU Vienna
2024
Marianne Sar
This master's thesis, titled "S in ESG: Assessment of Social Sustainability in Real Estate," authored by Marianne Sar, offers a critical analysis of the integration of social sustainability within real estate frameworks, specifically focusing on the EU Social Taxonomy and existing certification systems. Submitted in February 2024 at a university in Vienna, Austria, the thesis highlights the growing significance of social aspects in the Environmental, Social, and Governance (ESG) context, contrasting it with the traditional emphasis on environmental factors. The research delves into the EU Social Taxonomy, identifying three key stakeholder groups—employees, users/consumers, and communities—and establishing objectives aimed at promoting decent work, adequate living standards, and inclusive communities. Notably, the study assesses the ÖGNI certification system, revealing that only a fraction of its criteria effectively supports social sustainability. This gap underscores the inadequacies of current systems in comprehensively covering social dimensions. Furthermore, the thesis recommends the development of additional criteria to align with the Social Taxonomy and suggests integrating insights from alternative frameworks like GRESB and the ICG model. By advocating for more adaptable assessment strategies, the research aims to enhance the measurement of social impacts in various contexts, particularly for commercial real estate. Sar's work contributes significantly to the discourse on social sustainability metrics, providing valuable insights into how real estate certification can evolve to better reflect social considerations, ultimately fostering a more inclusive and equitable built environment.
This master's thesis titled "S in ESG: Assessment of Social Sustainability in Real Estate - Critical Analysis of Social Taxonomy and Limitations of Certification Systems" was written by Marianne Sar and submitted in February 2024 at a university in Vienna, Austria.
Context and Purpose
The thesis examines how social sustainability can be identified, measured and evaluated in real estate, with a particular focus on commercial properties. It analyzes the growing importance of social aspects within ESG frameworks while highlighting the current emphasis on environmental factors in the real estate sector.
Key Findings
Social Taxonomy Framework
- The EU Social Taxonomy proposal identifies three main stakeholder groups: employees, users/consumers, and communities/society
- It establishes three primary objectives: promoting decent work, ensuring adequate living standards and wellbeing, and fostering inclusive communities
- The framework differs from environmental taxonomy as it relies more on conventional standards rather than scientific metrics
Certification Systems Analysis
- The study focuses on the ÖGNI (Austrian Sustainable Building Council) certification system
- Out of 45 total ÖGNI criteria, only 22 were found relevant for social sustainability assessment
- The system covers only 59% of the Social Taxonomy's 37 sub-objectives, revealing significant gaps
- Socio-cultural quality criteria showed 100% alignment while economic quality criteria showed zero alignment
Limitations and Recommendations
- Current certification systems lack comprehensive coverage of social aspects
- 15 additional criteria need to be developed to fully align with Social Taxonomy requirements
- The thesis proposes integrating perspectives from other frameworks like GRESB and ICG model
- Suggests more flexible assessment approaches to account for different contexts and situations
Significance
The research provides one of the first comprehensive analyses of how real estate certification systems align with the proposed EU Social Taxonomy. It identifies specific gaps and proposes concrete ways to enhance social sustainability assessment in the real estate sector, particularly for commercial properties.
The thesis contributes to the emerging discussion on social sustainability metrics in real estate while highlighting the need for more standardized approaches to measuring and evaluating social impact in the built environment.